Price Elasticity of Demand - The responsiveness of Qd following a change in Price, Price Inelastic - Where the change in Qd is less than the change in Price, Price Elastic - Where the change in Qd is greater than the change in Price, Total Revenue will increase if... - ... a business raises the price of an Inelastic good, Total Revenue will fall if... - ... a business raises the price of an Elastic good, Income Elasticity of Demand - The responsiveness of Qd following a change in Income, Normal Good - A good that sees Qd rise when incomes rise, Luxury Good - A good that sees Qd rise to a greater extent than what incomes rise (a YED of >1), Inferior Good - A good that see Qd fall when incomes rise, If incomes generally rise in the economy... - ... the demand for normal goods will increase, If incomes generally fall in the economy... - ... the demand for inferior goods will increase and normal goods will fall,

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